… Demands N10bn “literacy development” fund for capital market

From Adesuwa Tsan, Abuja

The Senate Committee on Capital Market has asked the Minister of Finance and the Coordinating Minister of the Economy, Mr. Wale Edun, to set aside a N10 billion “Special Fund” to finance “literacy development” to boost the Nigeria Stock Market.

They made the demand during a 2024 budget defence meeting by the Security and Exchange Commission (SEC) at the National Assembly on Tuesday.

Chairman of the Committee, Osita Izunaso (APC, Imo West), in his opening remarks, noted that the Nigeria Stock Market is undersubscribed with only five million Nigerians trading in it. He also noted that barely one hundred and fifty-five companies are listed on it, adding that though it could be said to be recording progress, the stock market performance is “nothing to be proud of.”

He, therefore, requested that Edun set aside N10 billion to enlighten Nigerians on the benefit of the stock market in order to make them more interested and boost their confidence in investing in companies on the exchange in view of the bad experience of the past when money was lost without compensation.

“The capital market is not that well as people perceive it. It is sad to know that only about five million out of hundreds of millions of our vast population are in the stock market.  That is not something to be proud of. Only about one hundred and fifty-five thousand companies are listed in the capital market.

“I believe that we will require a special fund to finance literacy development. It does appear to me that Nigerians are not aware of the enormous benefits accruing to them in the capital market.”

He reminded the minister that the National Assembly had “done their own bit” to reposition the capital market by passing the Investment and Securities repeal and re-enactment bill which is awaiting assent of the president.

The minister disagreed with the senator. Highlighting some gains of the Nigerian stock market, he said it grew by 37 percent last year and has already recorded “about 1.8 percent” 2025.

“This growth is due to the confidence that investors have in this economy,” he stated.

“What is key is savings. What is key is that the Nigerian economy has money that can be saved long term,” in reference to the N20.5 trillion pension savings as at December 2024.